These best-in-breed stocks have average earnings yields of 8 percent, which is equivalent to over four times the 10-year Treasury yield, yet people are fleeing stocks for bonds, which have the lowest short-term interest rates since the 1940s.
We have already seen Merkel lose key elections in Germany, and French President Nicolas Sarkozy is not exactly having a great time in France either, with some of the lowest approval ratings of his term.